BHP vs SQM: Which Is the Better Dividend Stock?
As of Oct 22, 2026, BHP (BHP Group Limited) screens as the stronger dividend stock, winning 4 of 6 head-to-head metrics. BHP offers the higher yield at 4.90%, BHP has the higher dividend-safety score, and SQM looks like the better value (its fair-value estimate is 22% above its share price).
Key facts: BHP vs SQM
Data as of · Source: SmarterDividends data
- As of Oct 22, 2026, BHP Group Limited (BHP) has the higher forward dividend yield at 4.90%, versus 4.15% for Sociedad Química y Minera de Chile S.A. (SQM).
- As of Oct 22, 2026, SmarterDividends grades BHP's dividend safety C (56/100) and SQM's C (53/100).
- As of Oct 22, 2026, BHP pays out 69% of its earnings as dividends and SQM pays out 21%.
- As of Oct 22, 2026, BHP's fair-value estimate is 15% below its share price and SQM's fair-value estimate is 22% above its share price, so SQM looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BHP vs SQM: Dividend Yield, Safety & Value Compared," updated Oct 22, 2026, https://smarterdividends.com/compare/bhp-vs-sqm
| Metric | BHP | SQM |
|---|---|---|
| Forward yield | 4.90% | 4.15% |
| Annual dividend | $3.96 | $2.43 |
| Payout ratio | 69% | 21% |
| Years of growth | 0 yr | 0 yr |
| 5-yr dividend growth | -1.4% | — |
| 5-yr total return | 66% | -3% |
| Dividend safety score | 56 (C) | 53 (C) |
| Fair value estimate | $68.44 | $71.58 |
| Upside to fair value | -15% | +22% |
| Frequency | semiannual | semiannual |
| Market cap | $205.4B | $16.7B |
| P/E ratio | 20.9 | 12.0 |
Higher yield
BHP
4.90%
Safer dividend
BHP
Grade C
Faster growth
BHP
-1.4%
Better value
SQM
+22% upside
BHP vs SQM — FAQ
Is BHP or SQM a better dividend stock?
On the data, BHP wins more head-to-head categories (4 vs 2). BHP offers the higher yield (4.90%), while BHP has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, BHP or SQM?
BHP has the higher forward dividend yield at 4.90%, versus 4.15% for SQM.
Is BHP or SQM safer?
BHP has the higher dividend-safety score (56/100 vs 53/100), reflecting stronger payout coverage and dividend-growth history.
Is BHP or SQM better value right now?
As of Oct 22, 2026, SQM looks like the better value: its fair-value estimate is 22% above its share price (undervalued). For BHP, its fair-value estimate is 15% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.